EZDubai Highlights Rapid Growth of UAE E-Commerce Market, Reaching AED 32.3 Billion in 2024

Technology

EZDubai Highlights Rapid Growth of UAE E-Commerce Market, Reaching AED 32.3 Billion in 2024

EZDubai, the dedicated e-commerce zone within Dubai South, has unveiled the fifth edition of its annual E-Commerce Report in the MENA Region 2024, produced in collaboration with Euromonitor International. The findings reveal that the UAE’s e-commerce market surged to AED 32.3 billion (USD 8.8 billion) in 2024 and is expected to exceed AED 50.6 billion (USD 13.8 billion) by 2029.

According to the report, the UAE’s e-commerce industry is poised for robust expansion, with a compound annual growth rate (CAGR) of 9.4% over the next five years. A tech-savvy population, reliable digital infrastructure, widespread internet accessibility, and efficient last-mile delivery systems drive this growth.

Key Market Trends and Consumer Preferences

In 2024, the top-performing product categories by value were apparel and footwear, consumer electronics, and home care. The study highlights a continuing shift in payment preferences: while credit and debit cards remain dominant, digital wallet usage has risen from 41% in 2020 to 53% in 2024. Furthermore, Buy Now, Pay Later (BNPL) options are gaining traction, boosting conversion rates and average order values.

Free delivery and returns remain major incentives for online shoppers in the UAE, prompting retailers to innovate in logistics while managing profit margins.

MENA Region Outlook

The MENA e-commerce market reached AED 126.7 billion (USD 34.5 billion) in 2024, a 13% year-on-year increase. This momentum is largely attributed to the growth of mobile commerce and cross-border e-commerce, with projections suggesting the market will reach AED 212.2 billion (USD 57.8 billion) by 2029.

Key growth factors across the region include:

Investment in digital and logistics infrastructure
Government-backed e-commerce and digital economy initiatives
A connected and youthful consumer base demanding international products

Between 2019 and 2024, food, beverages, and home care categories experienced significant growth, a trend likely to expand into other sectors in the coming years.

EZDubai’s Role in the Digital Shift

Mohsen Ahmad, CEO of the Logistics District at Dubai South, commented:

“The e-commerce sector in the UAE is evolving rapidly, and EZDubai is proud to be at the forefront of this transformation. By offering world-class infrastructure and seamless connectivity, we are enabling global and regional players to thrive and scale. This growth is also being fueled by the UAE government’s forward-thinking policies, smart regulations, and sustained investments in digital transformation, logistics, and infrastructure.”

EZDubai was launched in January 2019 by HH Sheikh Mohammed bin Rashid Al Maktoum, Vice President and Prime Minister of the UAE and Ruler of Dubai. Strategically located in the heart of Dubai South’s Logistics District, EZDubai was created to serve as a regional benchmark for e-commerce innovation and excellence.

With this continued trajectory, the UAE is not only securing its role as a MENA e-commerce leader but also emerging as a global digital commerce hub.